Tether, the leading stablecoin issuer, has significantly boosted its Bitcoin reserves, purchasing over 8,400 BTC, totaling around $705.25 million. The move, which occurred on December 30, marks a major increase in the firm’s Bitcoin holdings, which now exceed $7.8 billion in value. The transaction, tracked through on-chain data from Arkham Intelligence, included an initial 7,629 BTC purchase via Bitfinex. This was followed by an additional 775 BTC accumulated shortly after.
Tether Acquires More Bitcoin For Treasury Reserve
The latest acquisition brings Tether’s Bitcoin reserves to a total of approximately 83,758 BTC, surpassing its USDT holdings for the first time. The stablecoin issuer currently holds $6 billion worth of USDT, indicating a shift in its asset allocation. The stablecoin issuer’s ongoing commitment to Bitcoin is part of its broader strategy to diversify its financial portfolio.
TETHER ADDS ANOTHER $700M BITCOIN TO RESERVES
SOURCE: ARKHAM pic.twitter.com/jhj4jIEh5o
— Arkham (@arkham) December 30, 2024
For further context, the recent Bitcoin buy follows Tether’s announcement in May 2023 that it would allocate up to 15% of its profits to purchasing Bitcoin. The company has been consistent in implementing this plan, acquiring 82,983 BTC for $2.99 billion, averaging $36,125 per Bitcoin. This move underscores Tether’s growing confidence in Bitcoin’s long-term value.
Beyond Bitcoin, the firm is also exploring investments in emerging sectors, including artificial intelligence (AI). Despite the expansion of its cryptocurrency reserves, the company is simultaneously preparing for the regulatory changes brought by the European Union’s Markets in Crypto-Assets (MiCA) framework. The MiCA regulations, which are set to be enforced soon, have stirred market uncertainty, with many questioning how they will impact Tether’s operations in European markets.
Also Read: Bitcoin Price: Crypto Expert Reveals Why 30% Correction is Bullish
